Statement:- What is the answer when it comes to ultimate liability of anything
The answer is not Senior Management, It depends!
Use your wisdom in the situation… If your employee murders someone in the organization then u cannot say senior management is responsible!
is it related to accountability?
It is about who is really responsible…
In that example…
Did management checked employee background?
Did they have some policies?
Did they have proper security checks?
If yes… Aim for Employee to be responsible not management
It’s about who did the DUE CARE!
In the above case what were the due diligence activities?
The due diligence is all about acquiring the required Knowledge. Being updated. Knowing about things that’s going on the company
So like in this case, if the murder happens using a gunshot
Did the company realize this thing?
And based on this..as due care, what they did?
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Student:- Based on the little information that I have, definitively not, they didn’t do the due care nor the due diligence
Sagar:- That’s what we have to evaluate.
Student:- because maybe in the interview, hiring process, periodically mental health or psychologist test they could find anomalies on the behavior of this employee
where is the drug policy? or alcohol policy?
they didn’t do the due care
Sagar:- Yup… It was just an example.. but that’s what needs to be evaluated!